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a. Commercial General Liability Insurance. PEI shall maintain commercial general liability insurance which shall include, but
<br />not be limited to protection against claims arising from bodily and persona injury, including death resulting therefrom and
<br />damage to property, resulting from any act or occurrence arising out of PEI's operations in the performance of this Agreement,
<br />including, without limitation, acts involving vehicles. The amounts of Insurance shall be not less than the following: single limit
<br />coverage applying to bodily and person injury, including death resulting therefrom, and property damage, in the total amount of
<br />$1,000,000 per occurrence, $2,000,000 in the aggregate. Such insurance shall (a) name the City of Santa Ana, its officers,
<br />employees, agents, volunteers and representatives as additional insured(s); (b) be primary and not contributory with respect to
<br />insurance or self- insurance programs maintained by the City; and (c) contain standard separation of Insureds provisions.
<br />b. Business automobile liability insurance, or equivalent form, with a combined single limit of not less than $1,000,000 per
<br />occurrence. Such insurance shall include coverage for owned, hired and non -owed automobiles.
<br />c. Worker's compensation Insurance. In accordance with the provisions of Section 3700 of the California Labor Code, PEI, if
<br />PEI has any employees, is required to be insured against liability for worker's compensation or to undertake self - insurance.
<br />Prior to commencing the performance of the work under this Agreement, PEI agrees to obtain and maintain any employer's
<br />liability insurance with limits not less than $1,000,000 per accident.
<br />11. SPONSORS DEFAULT: In the event SPONSOR shall fail to pay any sum when due under the terms of this contract, SPONSOR
<br />shall pay, in addition to such amount, Interest at the rate of 1.5% per month on the unpaid amount from the original due date.
<br />SPONSOR does further agree that it shall pay PEI reasonable attorney fees and other costs in the event PEI shall commence any
<br />proceeding (Arbitration or any other proceeding) or Incur fees to compel SPONSOR to pay any sums due hereunder or otherwise as a
<br />result of SPONSOR'S default of any of the terms and provisions herein contained.
<br />12. LIQUIDATED DAMAGES: It is agreed by and between the parties hereto that in the event of SPONSOR'S default hereunder PEI shall be
<br />entitled to receive the entire contract price and same shall be considered "liquidated damages" based upon an understanding between the
<br />parties hereto that PEI will have suffered damages due to Sponsors default. The damages suffered by PEI as a result of Sponsor's default will
<br />be substantial, but incapable of determination with mathematical precision. It is, therefore, agreed by the parties that the amount due PEI Is not a
<br />penalty, but rather a mutually beneficial and reasonable estimate of the damages suffered by PEI.
<br />13. SUBSTITUTIONS: PEI shall have the right, at its discretion, to substitute any fireworks it deems necessary provided same does
<br />not detract from the aesthetic value or quality of the program. This includes, but is not limited to, shell sizes, quantities, types and brand
<br />names. Any substitutions shall in no way result in or entitle SPONSOR to a reduction or abatement of the full contract price.
<br />14. ARBITRATION: Any disputes, differences, or any other type of controversy arising out of or in connection to this Agreement, shall
<br />be resolved by arbitration in Orange County, California, pursuant to the commercial rules then obtaining of the American Arbitration
<br />Association. Any dispute, controversy, action, claim, cause of action or proceeding arising under, out of, or in connection with the terms
<br />of this Agreement as Amended, commenced by or against any of the parties shall be deemed to have arisen from a transaction of
<br />business in California, and shall be resolved by application of the substantive laws of the State of California.
<br />15. BINDING EFFECT: This contract shall not be binding on PEI until executed by SPONSOR and PEI and PEI is in receipt of the
<br />downpayment required hereunder.
<br />16. EXHIBITION PLANNER CHECKLIST (EPC):
<br />a. FIREWORKS DISPLAY PERMIT: (Note: The actual start and stop time of the display will be determined by the
<br />governmental authorities having jurisdiction over the display).
<br />SPONSOR'S RESPONSIBILITY: It is Sponsor's responsibility to call your State, City, County, Town, Borough, or Village Fire
<br />Marshal or other appropriate authority to file for and obtain the Fireworks Display permit. PEI will prepare the paperwork for the
<br />permit application on SPONOR'S behalf. Upon receipt of your permit you must send the permit to our office for our
<br /> A. n^ iarar +tin„ zn nave nrinr fn vnur dianiav date. Failure to do so could seriously Ieopardizeyouur is la . You
<br />must obtain information on:
<br />1. Filing application deadline and fees,
<br />2. Local and state requirements for fireworks license for transportation and/or display. If a license is required, fax all forms
<br />Immediately to us.
<br />3. Fire Marshal's requirements for security of fireworks truck upon arrival, and the security of the fire zone before and during
<br />the display.
<br />4. Federal regulations require that we carry an accurate route plan to the display site. Fax us a copy of the route instructions
<br />from the nearest US Interstate to the display area (approved by the fire marshal or other authority, If necessary).
<br />5. Notify FAA on day of your display, according to the instructions in the FAA Letter of Approval, which will be forwarded to you
<br />prior to your display.
<br />Please Initial each p�qe.
<br />Initial here: V
<br />Sponsor PEI
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